Generational Marketing

Hard to acquire customers
- Get their attention with content and continue through emails (hope they commit)
Hard to market to a variety of different demographics
- 50 year olds may be unaware of digital marketing (will react differently to ads)
- 20 year olds well versed in digital marketing tactics (social media ads)
Millennials
- Know when brands are targeting them online
- Companies want to discover how to target all demographics (respond to what?)

Generational segmentation in marketing communication
- "a cohort of people born within a similar span of time (15 years at the upper end) who share a comparable age and life stage and who were shaped by a particular span of time (events, trends and developments)"

Group who still leaves and listens to voicemails (born between 1946-1964)
- Grew up during the american dream, white picket fence post WWII era
Slowly embracing technology (learning from younger generations)
- 65% of adults age 50 - 64 use social media, most using Facebook
Of the generations they are most likely to misunderstand a Facebook advertisement
- Like to talk to real people
Have highest value of any customer
- Spend most money on each shopping trip (most likely to splurge for items)
- Even spends the most on technology (premium cable to newest smartphone)

Tips for Marketing to Baby Boomers

Take Advantage of Brand Loyalty
- If you can prove your product is great quality and will be needed for large amount of time you can acquire them as customers
- Example: Old Spice announced they were changing formula (they will buy as many as they can before they switch)
Go for the Up-Sell
- Like to know the value of service (how it will make their lives better)
- Example: $10 extra per month for an extra 100 GB (not being pushy)
Tie in Cash Back
- Can be a commitment for people not wanting to spend large sum to earn it (not the case for them, used to spending enough to do so)
- Example: 48% use credit cards (rather spend more than leave deal out there)
- Earning points through purchases they can then use elsewhere (gifts, vacation)
If it ain’t Broke, don’t Fix it
- Susceptible to traditional marketing and sales tactics (talk to someone to process)
- Traditional tv and newspaper ads are good (least likely to make purchase online)
- Marketing ads intrusive on personal life are not welcomed (use social media for keeping up with long term friends not to see ads)
Plot Twist: Skip the Discounts
- According to AARP US adults over 50 spend $3.2 trillion and accumulated $15 trillion (greater than total GDP of some countries)
- Over 50 account for 50% of all customer expenditures (only spend 10% marketing on them though)
- Like quality goods (not $7 dollar wine people or used furniture)

The neglected middle child (smallest generation 1965-1980)
Now juggling child care, homeownership, and reaching the peak of their careers (busy)
More pessimistic about having enough money to retire
Greater than 80% are online
- Facebook and Twitter ⇒ more on par with tech adaption
Most dedicated to shopping lists, but make the most unplanned purchases
Hybrid generation (still enjoy in store purchases, but have embraced online shopping)

Tips to Market to Generation X

Everyone Loves Coupons
- Gaining momentum in the workforce when the great recession hit (can’t only rely on social security for retirement)
- Offering product that makes their lives easier (ex: Blue Apron)
- Email marketing best communication method (plugged in already for work)
Be a Goody Two Shoes
- Ethically produced products in high demand (ex: organic)
- More likely to buy products that somehow benefit society or environment (green)
Lifestyle Nurture Programs
- High use of social media (can send ads on birthdays, anniversary, new moms)
- Offer to send disposable items to your home at set intervals (ex: razor heads)
- Strong email program to get benefits (ex: send pregnant moms updates)
Give Gen Xer’s a Break
- Vacation often (⅔ who make over $250,000, ½ who make less will within a year)
- Consider running sweepstakes or aid while they are away (ex: security, goods)
- Family Friendly vacation instead of one or two person (lot of planning, money)
Plot Twist: Try Direct Mail
- 86% bring in the mail every day and 68% have used coupons from the mail
- More likely receiving paper bills and send birthday cards through the mail

Slowly taking over the workforce (born between 1981-1999 and came about early 2000s)
Most talked about on social media and in pop culture
Entered workforce when the economy crashed (largest group of entrepreneurs)
Notoriously soft hearted and soft shelled (valuing social issues)
- “64% of millennials would rather make $40,000 a year at a job they love than $100,000 a year at a job they think is boring”
Least frequent in store shoppers (new channels to market to them)
Spend large amounts of money when they do shop (not as frequent, once per month)
Most responsive to recommendations from friends and family, shopping with ease
Unresponsive to tradition marketing tactics
- “This generation decides where to eat based on Instagram pictures, chooses hair stylists from Facebook and has their groceries delivered to their door”

Tips for Marketing to Millennials

Focus on Innovation
- Love the next big thing (making trendy coffee shops and restaurants money)
- Take an approach that shows a new perspective on common problem or task
Use Reviews
- Heavily influenced by peers (68% discuss major plan with someone they trust)
- Ensure online reviews and customer experiences are good (ex: Yelp, TripAdvisor)
Connect with Millennials through Social Media Incentives
- “63% of millennials would be more likely to “check-in” to a business on social channels if it meant they’d receive a coupon or discount; 20% off is enough of an incentive to prompt 50% of respondents to visit a retail location” (prompt a share)
Utilize Rewards or Loyalty Programs
- 77% of millennials are willing to participate in reward programs and 73% of people are interested in using their phone to interact with these programs
Plot Twist: Try Radio Commercials
- 93% of millennials report listening to the radio for around 11 hours per week
- More millennials listen to the radio than Gen Xers or Baby Boomers, and podcasts are becoming just as popular as Netflix shows (good ad spot)